Two million British workers face paying 60% of their income in taxes as a result of the latest round of hikes by the ostensibly conservative government, which is also spending billions more on state employees’ pensions.<\/p>\n\n\n\n
Chancellor Jeremy Hunt, a David Cameron-era anti-Brexit holdover who played a key role in ousting Liz Truss and installing Rishi Sunak as Prime Minister, announced this week that he would raise taxes by another \u00a324 billion.<\/p>\n\n\n\n
According to the NFU Mutual financial advice firm’s analysis of Hunt’s tax increases, up to two million people will be subject to paying 60% of their income in tax by 2028 as a result of inflation pushing their salaries into frozen higher tax bands.<\/p>\n\n\n\n
Because those earning between \u00a3100,000 and \u00a3125,140 do not benefit from the tax-free personal allowance available to other earners, they will fall into a trap in which six out of every ten pounds earned above the threshold will be paid to the government.<\/p>\n\n\n\n
Currently, approximately 1.3 million Britons earn more than \u00a3100,000 \u2014 however, inflation is expected to drag 700,000 more taxpayers into the band.<\/p>\n\n\n\n
Meanwhile, as a result of tax increases and lost economic growth due to the impending recession, British workers are expected to lose \u00a315,000 in real pay rises over the next five years, according to the Resolution Foundation, which predicts that wages will not return to 2008 levels until 2027.<\/p>\n\n","protected":false},"excerpt":{"rendered":"
Two million British workers face paying 60% of their income in taxes as a result of the latest round of hikes by the ostensibly conservative government, which is also spending … <\/p>\n